The data was comprised from a sample of 450,000 randomly selected Americans. While the study found that the individuals’ self assessment of their own lives was strongly correlated to higher salaries, their day-to-day happiness was not equally affected.

“Many people want to make a lot of money, but the benefits of having a high income are ambiguous,” said Professor Kahneman, who is also a Nobel laureate in economics. When you are wealthy you are able to buy more pleasures, he said, but a recent study suggests that wealthier people “seem to be less able to savor the small things in life.”

What is the moral of the story?

In the end, people should pursue what they’re interested in, said Daniel H. Pink, author.

We’re taught that money-makes-the-world-go-round… and to save money for when we’ve retired,… While I understand that the researchers are trying to say that money doesn’t buy happiness, I actually would like to add a personal addendum… it certainly helps.